Decarbonisation and competitiveness: Two sides of the same coin
It is not only decarbonisation that is at stake—competitiveness is, too. Driving down emissions is a major economic opportunity for the European cement industry because it will allow European companies to compete with other, more future-focused markets.
For decades, European cement standards have followed a recipe-based logic, only offering a limited and predefined set of cement types and compositions an easy route to market. We urgently need performance-based standards—ones that will define the properties of cement instead of a shopping list of ingredients decided by only a handful of companies. The current approach has sidelined innovation—leaving a gap in the global market for low-carbon cement that is now being filled by others.
This has led to a growing number of European innovators exploring other markets, including the US, Latin America, and Canada, all of which have more innovation-friendly cement standards in place. These countries now have a competitive advantage in attracting both innovators and investments—including those from Europe.
For European companies to remain competitive, the EU must remove the barriers preventing clean technologies from being deployed at scale—including its antiquated recipe-based standard. Competitiveness does not exist without underlying fair and open competition on the internal market. Today, this is not happening.
The clock is ticking for the European Commission
The European Commission, aware of this market failure, initiated a process earlier this year to supposedly break free from outdated practices. Worryingly, the drafts it has put forward on how future European cement standards need to look are business-as-usual, offering the same old (polluting) technologies an easy route to market.
With time running out for the EU to meet its climate goals—something that will not be possible without addressing cement emissions—many are beginning to sound the alarm. A letter published last week with 23 signatories from industry, civil society, and think tanks counselled the European Commission to stand strong in the face of political pressure and short-term business interests. They call for technology neutral cement standards to be prioritised instead of the status quo.
The EU has everything it needs to lead the way with a green, vibrant, and innovative market—but politicians and incumbent companies must stop blocking progress. Time is running out for Europe’s cement industry, which if it doesn’t act will become obsolete in a constantly evolving global market.
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Publish date : 2024-10-22 03:14:00
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